B

Coronavirus Impact: New measures for economy protection plan announced

While fighting the spread of the virus, the government is also introducing measures to prop up Hungary’s economy.

Following last week’s introduction of the first economy protection action plan, Prime Minister Orbán announced yesterday that six additional measures will be added to this plan.

First, more than 81,000 sole proprietors and businesses registered to pay the Itemized Tax for Small Businesses (KATA) will be exempt from monthly tax payments until June 30. This affects primarily those in the service sector, including hairdressers, cosmeticians, plumbers, gas-fitters, carpenters, sports trainers, painters, electricians, performing artists and outpatient care providers.

As with tourism and hospitality, media service providers are spared from any loss in advertising revenue.

Evictions and forfeiture of property are suspended until the end of the emergency.

Tax enforcement is also suspended, and any remaining tax debts can be paid after the end of the emergency.

Mothers currently on leave from work to care for their children will be able to remain at home until the end of the state of emergency.

The government’s initial measures included a moratorium on the payment of principal, interest and fees on individual and business loans until the end of the year as well as sector-specific aid for businesses most affected by the coronavirus fallout.